PALM BEACH, Fla. -- Union Equity Inc. (Pink Sheets:UNQT) has executed a pre-construction reservation agreement to acquire a unit at the new Hard Rock Hotel & Casino condominium in Las Vegas, Nevada. This reservation agreement includes Union Equity in the elite "pre-sale" group, meaning that whatever unit the company secures will be done so at "first-tier" pricing.
Pre-construction condominiums are sold in phases and the realtors for the pre-sale group have to actually be invited by the developer to participate. The buyers they bring to the table get the opportunity to lock in prices "pre-sale" before units become available to the general public at higher prices.
"One of our longtime associates at Metropolitan Realty in Las Vegas was just invited to join the pre-sale group late last week," said Union Equity CEO Michael Anthony. "When she contacted us Friday we already knew the Hard Rock Cafe project intimately so we moved on it immediately. I didn't hesitate for a second because I'm convinced the project will sell out in record time."
Once the pre-sale group has been accommodated, remaining units, if any exist, will be made available to the general public.
Unit prices increase during each phase of pre-construction condominium sales. Traditionally, there have been several price tiers ranging from the most desirable "pre-sale" to the final pricing stage that occurs when the developer releases the last few remaining units immediately before the building is completed. Recently however, hot condominium projects have sold out in a matter of days; some on the first day units become available to the general public.
"The Hard Rock Cafe project perfectly fits our criteria and will be just one part of the Union Equity mosaic," Anthony said. "I believe it is the single hottest project in the country, if not the world. Being part of the pre-sale group is the icing on the cake."
Peter Morton, chairman and founder of the Hard Rock Cafe Hotel & Casino plans to build the $1 billion condominium hotel and entertainment venue. The facility will encompass more than 1.5 million square feet and will spread over 24 acres in four buildings. Once combined with the existing Hard Rock Cafe Hotel & Casino, the two properties will cover a total of 41 acres. The project will be just two blocks from the Las Vegas Strip.
The Hard Rock Cafe Hotel & Casino project is being designed as a mixed-use, master planned development that will include a collection of unique restaurants and nightclubs, a number of world class retailers, a state-of-the-art health club a full-service spa and a variety of other recreational facilities.
Chairman Peter Morton is currently meeting with restaurateurs and retailers from around the world for this project. His goal is to incorporate the same excitement and innovative features that have made the Hard Rock Cafe Hotel & Casino one of Las Vegas's most popular destinations.
The current Hard Rock Cafe Hotel & Casino appeals to a young, affluent demographic. According to Metropolitan Realty, numerous celebrities are included in the pre-sale group for the upcoming condominium.
"Due to the fact that the property has been deemed mixed use, we can rent it on a short-term or long-term basis," Anthony said. "Obviously, we always have the option of selling it outright."
The Hard Rock Cafe Hotels and Casinos are subsidiaries under the parent company of the Rank Group, PLC (NASDAQ:RANKY) http://www.rank.com. For more information on The Hard Rock Hotel & Casino, visit http://www.hardrock.com.
This past Friday, April 29, 2005, Union Equity submitted a formal bid on a Mizner mini-mansion in West Palm Beach. Mizner mini-mansions are essentially Spanish-style stucco homes with barrel-tile roofs. They have become increasingly popular over the past several years in South Florida with celebrities and high-end investors. They are typically two-story residential properties with a separate guest house.
Union Equity's bid on this property is currently under consideration.
On April 18, 2005 Union Equity approved a 600% dividend in the form of a six-for-one forward split of its common stock. Shareholders who purchase stock in the company by May 16, 2005 will receive six additional shares of common stock for every single share owned. Shareholders or potential shareholders who have technical questions regarding the dividend should contact their brokers directly.
Union Equity advises shareholders as well as the general public to contact the company through their website and provide their e-mail addresses so they may be included in the company's upcoming quarterly newsletter. The tentative date for the first issue is June 1, 2005.
About Union Equity
Union Equity is a national real estate development and holding company, specializing in the fields of Residential Property Development, Mortgage Finance and Construction of New Residential Properties. The company operates independently and through its wholly-owned subsidiary Eden Development Group and plans to grow aggressively over the next two to three years through acquisitions, mergers and internal growth.
About the Industry
Florida ranked fifth nationally in housing appreciation in 2004.
Forward-Looking Statements
This release contains forward-looking statements within the meaning of the Securities Exchange Act of 1934, which represents the Company's expectations or beliefs concerning, among other things, future operating results and various components thereof and the adequacy of future operations to provide sufficient liquidity. The Company cautions that such matters necessarily involve significant risks and uncertainties that could cause actual operating results and liquidity needs to differ materially from such statements, including, without limitation: (i) increased competition, (ii) fluctuations in price, demand and supply of real estate markets and (iii) risks associated with high capital long term investments.
Further information on the company can be found on their website; http://www.UNQT.com.
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